4G Capital secures $2M to scale its hybrid lending model in Africa

Kenyan-Ugandan fintech company 4G Capital has secured US$2 million in funding to expand its unique lending model. The firm, which started in 2013, combines digital platforms with face-to-face support from local officers. This latest investment will help grow its digital services and partnerships even further. Since its launch, 4G Capital has provided over US$800 million in loans to more than 755,000 small business owners. The company specialises in small working capital loans alongside tailored business training for micro-enterprises. To date, it has issued 6.8 million loans, helping entrepreneurs strengthen their businesses and livelihoods.

The new US$2 million funding comes from GIF Growth and will focus on scaling the firm's 'touch-tech' approach. This model mixes digital lending tools with in-person assistance from field officers. The company is also preparing for a Series D funding round to push its digital expansion further. 4G Capital remains active only in Kenya and Uganda for now. Later this year, it expects to exceed US$1 billion in total lending since its founding over a decade ago.

The fresh funding will boost 4G Capital's digital systems and strategic alliances. With nearly a billion dollars already lent, the company continues to support small businesses through its blended lending model. Further growth is planned as it moves toward its next funding phase.